Queenstown and Wanaka Growth Management Options Study

Transcription

1 Queenstown and Wanaka Growth Management Options Study Stage One: How will Wanaka and Queenstown look, feel and function as they develop over the next 20 years? A report to Queenstown Lakes District Council Prepared by Hill Young Cooper Ltd in Association with QLDC

2 Document reference : Z:\DM Current Docs\QT\Docs 14October\Feb Report.doc Date of this version: 6 February 2004 Status of report: This report was prepared by: Final draft David Mead, Hill Young Cooper Ltd, BTP, MNZPI Hill Young Cooper Ltd PO Box Newmarket, Auckland p: f:

3 Table of Contents 1 INTRODUCTION Report structure Process to develop the report Context Overview of the district QUEENSTOWN QUEENSTOWN COMMUNITY OUTCOMES QUEENSTOWN - CURRENT STATE AND EXPECTED GROWTH PRESSURES Growth patterns Current planning Business land Resident/visitor/jobs balance Existing population projections Alternative projections HOW MUCH MORE SPACE IS NEEDED? Housing Visitor Accommodation Employment Transport Reserves Libraries Community facilities Indoor and aquatic sports facilities Summary of growth needs Queenstown and Wakatipu Basin under a Business-as-Usual Future Visitors and Visitor Accommodation Business and employment Population and residential housing Community facilities Infrastructure KEY GROWTH MANAGEMENT ISSUES FOR QUEENSTOWN... 37

4 URBAN GROWTH PRESSURES POSSIBLE STRATEGIES to MANAGE the CONSEQUENCES to URBAN FORM Consequence: role and function of Queenstown CBD and surrounding area Possible strategies for the CBD Consequence: Economic growth Possible strategies for employment More efficient use of existing business land Possible strategies for transport WANAKA COMMUNITY OUTCOMES WANAKA - CURRENT STATE AND EXPECTED GROWTH PRESSURES Growth Projections and Demands Employment and Business Reserves and community facilities Libraries and other community facilities Wanaka under a business-as-usual future Key Growth management consequences Consequence: Staging growth within the long-term growth boundary Particular options for keeping growth within the long term boundary Consequence: Developing a special character Options for developing the town s character... 85

5 1 INTRODUCTION What will Queenstown and Wanaka look and feel like in 20 or 30 years time given current growth pressures and trends? This is the picture that Queenstown Lakes District Council (QLDC) wishes to describe and illustrate for both Queenstown and Wanaka. In particular: How built up might the central business districts be? How busy will Frankton Road get in Queenstown? The state highway into Wanaka? What about housing and industry? Where will new housing be built and what form will it take: stand-alone housing; terraced housing or apartments? How many visitors are there likely to be in town and what will their need be for accommodation, services and activities? What will be the demands of the residents and visitors on community, recreational, open space and social services? Based on this information, the council wishes to consult the community about the future direction of growth, and the advantages and disadvantages of taking different approaches to how growth might be managed. 1.1 Report structure To help answer questions about the future shape of the district in a way that is useful for community debate, this report sets out the following material for Queenstown, then Wanaka: 1

6 Community outcomes. Existing conditions, growth pressures and forecasts and the assumptions behind them. What the town is likely to look like in 20 years time under a business-as-usual approach. What the key consequences of this approach are likely to be. In particular is there likely to be a miss-match between the 20 year picture and important community outcomes? What techniques could be used to ensure a closer match between future growth patterns and community outcomes? That is, what can the council do to ensure that the desired community outcomes are achieved over time? The discussion of growth management techniques how they might work, and their advantages and disadvantages is not exhaustive. At this stage, a range of techniques are discussed to provide a flavour of the actions that the council could take to better meet community outcomes. Subsequent stages of the project will involve public workshops on the different techniques and the development of a preferred package of actions by the council. This study sets the scene for this work. 1.2 Process to develop the report The diagram below shows the process followed to develop this report: 2

7 Initial briefing with council staff on growth issues Interviews with key informants Workshop with council staff to discuss growth projections and likely consequences Development of initial growth projections and demands on land and infrastructure Further refinement of projections and consequences Workshop with councillors and council staff to discuss projections and The following appendices are attached to this report: Appendix One: People and organisations consulted during the project. Appendix Two: Further data and assumptions related to the growth projections set out in this report. Appendix Three: A working paper looking at the specific issues associated with techniques to slow growth rates. 3

8 1.3 Context In 2002, the district council ran community-based workshops in both Queenstown and Wanaka to debate growth directions. Both communities expressed a strong desire to better plan for and manage growth. They didn t want to stop it altogether, but wanted to put in place policies and actions to ensure the special qualities of Queenstown and Wanaka are protected and to ensure growth helps to make the district a better place to live. The community outcomes developed in these workshops form the basis of this project. They are set out later in the document. Based on the growth pressures facing the two towns, it is important to consider whether current plans and policies, perhaps with some minor adjustments, are sufficient to shape growth in a way that meets these community outcomes. This is what you might call taking a business as usual approach to growth management. Once there is an understanding of the consequences of the business as usual approach, the need to change policies can be identified. Business-as-usual Current planning (as expressed in the Proposed District Plan) emphasises to the following principles: Protect the natural environment. The protection of natural resources and outstanding landscapes and features is of fundamental importance. This is achieved by limiting development in these areas. Provide for growth. The plan seeks to enable a range of living and working environments. The importance of visitor accommodation is recognised by limiting the rules which apply to this sector. Mitigate adverse effects. New development is managed so that adverse effects on existing activities and the environment are minimised. In Queenstown, higher density growth is encouraged around the Queenstown Bay area. Lower density development is provided for in Kelvin Heights. At Frankton Flats a variety of densities are possible. In the basin, there are a range of special areas, resorts and rural-residential areas where growth is possible. In Wanaka, the emphasis is on the expansion of the current suburban pattern, with some higher density development close to the centre, and some possible infill. 1.4 Overview of the district The growth of the district s population has been fast over the five years between 1996 and The usually resident population (the number of people living permanently in the area) is now close to 20,000 people for the whole district. Figure 1 shows the growth trend since

9 It can be seen from Figure 1 how the population has roughly doubled in this period. Growth was fast in the first part of the 1990s, slowed down in the middle part and then accelerated again in the past few years Usually Resident Population Figure 1: Queenstown Lakes District Population Growth Source: Statistics New Zealand Wanaka has been taking an increasing share of this growth. In 1991, the Queenstown urban area accounted for 52% of the district s population, and Wanaka accounted for just 19%. By 2001, these figures were 50% and 20% respectively. The District has a number of smaller settlements such as Glenorchy and Hawea. These settlements are also growing, but overall they represent only a small proportion of the total population of the district. The number of people moving into the district is the largest source of growth. About 80% of total growth is accounted for by inward migration. In Auckland it is more like 30 to 35%. Obviously growth has been very fast over the past few years. It is possible that growth rates will slow in the medium term, as they did in the mid to late 1990s, as the economy moves through a cycle of growth followed by a period of flatter growth, or rates may possibly decline. However, the long-term underlying rate of growth is expected to remain positive. In terms of visitor numbers, Figure 2 shows the number of guest nights as recorded by Statistics New Zealand for the whole of the district. This data only covers people staying in commercial accommodation, not with family or friends. What can be seen from the graph is the steady rise in visitor numbers, as well as the strong seasonal trend with a dual peak based around the summer and winter seasons. 5

10 Guest Nights Jul-96 Nov-96 Mar-97 Jul-97 Nov-97 Mar-98 Jul-98 Nov-98 Mar-99 Jul-99 Nov-99 Mar-00 Jul-00 Nov-00 Mar-01 Jul-01 Nov-01 Mar-02 Jul-02 Nov-02 Mar-03 Figure 2: Visitor accommodation guest nights for Queenstown Lakes District Council area Source: Statistics New Zealand 6

11 2 QUEENSTOWN This part of the report looks at the growth management issues facing Queenstown and the Wakatipu Basin over the next 20 years, and what is likely to happen under a business-as-usual approach. Key growth management choices are highlighted, and a number of options for how the community might respond to these choices are presented. The study area is the Queenstown urban areas, as well as Arrowtown and the Wakatipu Basin (see Figure 3). Gibbston Valley is not included due to its physical differences and separation from the main areas of activity around Queenstown. S T U D Y A R E A ARROWTOWN Key Study area indicative only ARTHURS POINT LAKE HAYES QUEENSTOWN HILL FRANKTON N QUEENSTOWN km KELVIN HEIGHTS LAKE WAKATIPU JACKS POINT T H E R E M A R K A B L E S Figure 3: Queenstown study area 2.1 QUEENSTOWN COMMUNITY OUTCOMES The outcomes listed below were developed at the Tomorrow s Queenstown community workshops. Outcomes are a statement about how the community would like the environment and community to be in the future. They are a goal or aspiration which the council and community can work towards together over time. 7

12 Queenstown community outcomes Manage growth in a way that is sustainable Landscapes should be a key determining factor in deciding the edge and location of urban development. Contain urban growth to long-term certain boundaries. Stage new urban growth areas. No further opportunities for rural development beyond those now in the district plan. Increase the achievable density of large areas within the existing and new greenfield urban areas. Concentrate high-density development and visitor accommodation transport routes to support higher frequency public transport. Respect the dominance of our magnificent mountain, lake and rural environment Improve the ecological values of outstanding landscape areas. Protect iconic views and vistas. Protect the character of rural areas. Extend the green and trails network to add amenity, ecological and transport utility. Build a strong, diverse and inclusive community for people of all ages The Queenstown CBD is the heart of the community so the distance and connectivity of new urban areas to the CBD is a key consideration. Frankton should be the other (but not competing) hub transport, health and sports, with local community facilities and schools. Development of affordable housing is needed to support a stable workforce and balanced community. Improve access to and through rural and urban areas with good roads, the green network, walkways and public transport Provide good roading links between neighbourhoods including an alternative to Frankton Road. Plan for improved public transport services in association with plans for higher density development. Retain and protect the existing airport resource. Create high-quality urban environments where safe community life can flourish High quality urban developments to be encouraged through design guides and controls. Upgrade and improve open spaces. 8

13 Provide infrastructure for a growing population New development must be supported by appropriate infrastructure. Plan ahead. Aim for sustainable systems for water and wastewater management. Grow the strength of our economy Less is more for tourism. More higher yield visitors with smoothing of seasonal troughs. Diversify the economy with other economic activity suited to a lifestyle location (film, IT, education). Ensure adequate provision of business land (in a constrained land market). 2.2 QUEENSTOWN - CURRENT STATE AND EXPECTED GROWTH PRESSURES In 2001, in the Queenstown study area: There were 12,000 permanent residents in Queenstown and the Wakatipu Basin, living in 4,800 dwellings. In addition to these occupied dwellings, there were also around 1,800 dwellings that were not occupied on a permanent basis, such as holiday homes and second homes. There were 7,300 full-time equivalent jobs in the area (full-time and parttime jobs added together). Just over 2,000 of these jobs were located in the CBD. Included in this number would be around 800 to 1,000 short-term or casual workers, many of them from overseas, who would not be counted as permanent residents. On an average day there were likely to be around 8,000 visitors in town. About 5,000 of these people stay at commercial accommodation, with the balance staying in private homes. The commercial accommodation sector has a capacity of around 6,000 beds per night. Each day during winter there were around 200 airplane movements at the airport (take offs and landings) and around 2,800 passengers passed through the airport. During busy periods (summer and winter) the numbers of visitors would grow by at least 50%. So at the height of summer there may be more than 25,000 to 30,000 people (residents and visitors) in and around the settlement. 2.3 Growth patterns 9

14 Over the past five years between , in the Queenstown study area: Visitor numbers (domestic and international) grew by 8% per year 1 Employment grew by 8.5% per year 2 The usually resident (permanent) population grew by 3% per year 3. Like other coastal and mountain-lake areas (Nelson, Taupo, Tauranga) Queenstown is growing faster than the rest of the country. In the case of Queenstown, however, it is apparent that a lot of this growth is being driven by tourism, rather than people shifting to the area for lifestyle reasons. The growth rates for visitors and jobs are very similar. This suggests that the increasing numbers of visitors to the area is attracting more people in search of jobs and business opportunities. Most of the growth in visitor accommodation has occurred in and around the CBD. Accommodation for tourists is increasingly in the form of rentable apartments (apartments rented for short-term stays). Industry commentators suggest there may be only one large hotel in the future. There are proposals for 600 to 700 more apartment units to be built. Much of this development is beginning to extend along Frankton Road. For the permanent population, Census 2001 data shows the focus of growth over the five years between 1996 and 2001 has been on the fringe areas of Kelvin Heights and Frankton and the Sunshine Bay/Fernhill area. The number of permanent residents in the core, the Queenstown Bay area, was fairly stable between 1996 and Meanwhile, the population of Arrowtown, and the basin in general, has also increased. In terms of the age and composition of the population, census data shows the average age of people living in the Queenstown Bay area is dropping as younger people move in. For the outer suburbs and the basin, the population profile is more focused on people in the 40 to 60 year age group. In terms of commercial land, there are a number of developments proposed for the fringes of the CBD. However, overall the number of jobs in the CBD has been fairly static over the past few years, indicating most growth in employment is occurring outside the CBD, such as in the accommodation and construction sectors, and increasingly in Frankton. Yet the CBD is still the favoured location for business and professional services. There is space for further retail activities at Frankton Flats. The retail centres which are possible in this area could be, when added together, larger than the CBD. There is little land remaining for services and light industry. The Gorge Road industrial area is heavily developed while the industrial area at Frankton is rapidly filling up. Land uses in Gorge Road and Industrial Place are becoming more orientated towards service and commercial activities, rather than industrial activities, in keeping with the areas 1 Based on Accommodation Survey doesn t include people staying with family or friends. The long-run growth rate is around 5% per year. 2 Based on Statistics New Zealand Business Demography data 3 Census data. 10

15 business zoning. While there is still some business land at the airport, the use of the land is restricted to activities compatible with the airport location. 2.4 Current planning The shape of future growth is dependent upon current planning and what growth is possible under these plans. The council estimates under current plans there is room for another 13,000 dwelling units spread across the urban area of Queenstown, as well as the Wakatipu Basin and Arrowtown. On the face of it, this is a large capacity, but it is available to be taken-up by rentable apartments and other forms of visitor accommodation. Holiday homes and second homes will also take up part of this capacity. Units Sunshine / Fernhill Wider CBD Area Frankton Rd Frankton Flats Kelvin Heights Arrowtown Wakatipu Figure 3: Capacity for Additional Dwelling Units Source: Queenstown Lakes District Council The Wakatipu area includes all areas outside the main urban area: Jacks Point, Arthur s Point, Millbrook, Meadow Park and Lakes Hayes Estate, as well as rural-residential and rural lifestyle areas. 11

16 2.5 Business land There are 87 ha of commercial and industrial land, enough to accommodate around 6,800 jobs, based on standard employment to land ratios. It is estimated there are 3,600 (fte) jobs located in industrial and commercial areas, leaving a capacity for another 3,200 jobs. Most of this capacity is in the Frankton area and associated with commercial rather than industrial areas (the airport land and at Remarkables Park). There is also a lot of employment in residential areas. Table 1: Business land availability Business area Area (Ha) Capacity (ftes/ha) Total ftes Current ftes (estimated) Estimated spare capacity (ftes) Queenstown ,556 2, CBD Gorge Road Frankton industrial Airport Frankton Flats commercial Arrowtown industrial Total ,841 3,650 3, Resident/visitor/jobs balance The balance between local residents, visitors and jobs provides a guide to how the place looks and feels, as well as the extent to which the area can provide for its own needs. In terms of the balance between residents and visitors, many more visitors than residents may make a place feel as though it no longer has a community. This will affect the sense of identity and belonging of people living in the area. In the Frankton area, residents make up the greatest number of people, but in the Queenstown Bay area there is more of a mix of residents and visitors. 12

17 Table 2: Residents / visitor balance 2001 Number of People Wider CBD area Frankton area Usual residents 5,639 3,362 Visitors staying in area (estimated) on average day 5, In terms of the balance between jobs and people (both residents and visitors), the Queenstown Bay area has more residents and visitors and a larger town centre, compared to Frankton. Comparison of the basic ratio between town centre-based jobs and the number of residents and visitors in the surrounding area suggests Frankton could sustain a larger retail centre. In the Queenstown Bay area, more people and visitors implies the need to expand the town centre, but growth of the centre is constrained by land use zonings. Table 3: 2001 Jobs / People Balance Number of people Wider CBD area Frankton area Residents + visitors 11,322 4,119 Town workers centre 2, Ratio The balance between residents and jobs also affects travel to work patterns. Census travel to work data shows there is a high proportion of people who walk or cycle into the Queenstown CBD area. This is related to the close proximity of the residential area to the CBD, as well as the large number of jobs in the area. In contrast, fewer people and longer distances see more people drive to workplaces in Frankton. 13

18 Table 4: Travel to work Employment area Percentage who walk / cycle / bus to employment area Percentage who take the car to employment area CBD 26% 74% Frankton 20% 80% 2.6 Existing population projections This project requires an assessment of future growth pressures. All projections about growth have to make assumptions about what may drive population growth in the future and therefore involve a degree of uncertainty. Statistics New Zealand regularly produces projections of population growth for cities and districts in the country. Under the high growth projection developed by Statistics New Zealand for the Queenstown Lakes District Council area 4, the permanent population of the Queenstown study area will reach 22,000 people by 2021, up around 10,000 people from This projection is based on assumptions about natural increase and the number of people who may shift into the area. Statistics New Zealand suggest the annual average rate of growth will fall from 3.8% in 2001 to 2.1% by Is this realistic? Inward migration is the main driver of population growth. The rate of inward migration is obviously dependent upon economic conditions and whether there are jobs in the area. The recent past has seen the number of tourists grow quickly, fuelling economic growth, and with it population growth. All the indications are that visitor numbers will continue to rapidly increase into the future, especially under a business-as-usual approach. Also influencing the number of people moving into the area is the holiday and second home market. Many people appear to be buying homes as a retirement option renting them out or leasing them to an accommodation supplier in the short-term, with the intention of living permanently in the area once they retire. For the second home market, better transport links mean that some people can spend part of their working time in Queenstown and part in other main business centres. These factors mean the population of the area could rapidly grow in the future as more people come to live permanently in the area, even if the growth in tourist numbers levels off. 4 Produced by Statistics NZ November

19 2.6.1 Alternative projections In planning ahead it is useful to consider a future in which growth continues at a fast pace. This is not because the council or community wants Queenstown to grow rapidly. Projecting forward fast growth rates helps highlight choices and tests the robustness of different approaches to growth management can a strategy cope with a range of growth rates, whether the growth is fast or slow, for example? The high-level projections developed for this project assume that tourism will continue to be the main driver of growth in the area. As tourist numbers grow, more people need to be employed in the industry and so more people will be attracted to the area. If current trends continue (a long-run annual average rate of growth of visitor numbers of about 4.5% to 5%), then by 2021, the number of visitors in the Queenstown area on any given day could reach 19,000, up 11,000 from the current 8,000. If this happens, then employment could grow to around 17,000 to 18,000 full-time equivalent jobs, up from the current 7,300. The permanent population would not grow as quickly, but still might reach 29,000 to 30,000 people by This is more than that estimated by Statistics New Zealand but not unrealistic given current growth rates. See Figure 4. The Statistics New Zealand projections are its recent high growth projection, but they assume a lowering of inward migration rates after Unless the economy slows considerably, this seems unlikely. The alternative projections therefore continue with fast population growth into the medium term. 15

20 People Stats NZ Pop Revised Pop Visitors FTEs Figure 4: Projections for population, visitors and employment Table 5: Projected growth Stats New Zealand resident population Revised resident population estimate 11,970 16,240 18,410 20,,560 22,670 11,970 14,963 18,996 23,830 29,826 Visitors 8,067 10,174 12,678 15,611 18,993 FTEs (jobs) 7,295 9,095 11,429 14,191 17,580 Are these numbers realistic is there enough space to house these people and accommodate all the visitors? Will the place get too crowded? Will infrastructure like roads and sewerage systems become overloaded, dampening growth? On the face of it, there is the potential for this growth to occur in the short to medium term at least: The council estimates that under the current District Plan there is room for another 13,000 dwellings in the Queenstown/Wakatipu area, which could 16

21 accommodate a further 25,000 to 30,000 permanent residents, although an allowance needs to be made for visitor units and second homes. Tourism operators say there are no inherent capacity constraints on the number of people they can serve but they may need to better manage activities and spread peak loads, for example, in the future. In terms of infrastructure, growth can be planned for. The wastewater plant can be extended and additional water reservoirs built. One constraint on growth may be the road into Queenstown (Frankton Road), but this constraint may just mean that growth locates elsewhere, such as Frankton Flats, or that other options such as public transport become more viable. More visitors in town will make the place feel busier, but open spaces and public areas can be upgraded to cope with this, such as making better use of Queenstown Gardens to help spread people around the foreshore. One possible constraint on growth, as discussed later, is the capacity of the airport. However, even if the number of tourists arriving by aircraft levels off at some point, the numbers arriving by road can increase. What do these numbers mean for the total number of people in the area? By 2021, there could be over 50,000 visitors and residents in the town on an average day, a settlement the size of Invercargill today. During busy periods the number would be higher still around 65,000 to 70,000 people. But how the place is developed will mean that it could be quite a different place from any other New Zealand town of 50,000 people. Figure 6 shows the total number of people in the Queenstown/Wakatipu area on an average day in 2001 and 2021, and on a peak day in the middle of winter or summer when there are a lot more tourists and visitors in town and the surrounding area. Figure 5: Total people Transient Workers Visit or s Usual Resident s Average Day Average Day Peak Day 2.7 HOW MUCH MORE SPACE IS NEEDED? 17

22 How much more space would be needed to fit in this number of people how many more homes, visitor accommodation units and how much more land for businesses? Estimates of future demands for space for activities can be made based on current ratios of people to homes, visitors to accommodation units and jobs to business land. This section briefly describes how the above projections of people, visitors and employment numbers can be translated into estimates of future demand for land and space for activities Housing In 2001, the 12,000 permanent residents in the Queenstown area lived in 4,800 occupied dwellings. On average, there were 2.49 people per household. In 1996 the average number of people per household was In addition to the 4,800 permanently occupied dwellings, there were also 1,800 dwellings occupied some of the time, for example, holiday or second homes. Put another way, for every 10 permanently occupied dwellings, there were 3.7 dwellings occupied for some of the time. This ratio between permanent and holiday homes has been declining over time as the size of the permanent population increased. By 2021, it is assumed the average occupancy rate will be around 2.3 people per household, and for every 10 permanent households there will be 2.5 holiday or second homes. This means the expected 2021 usually resident population of 30,000 people will need to be housed in 13,000 permanently occupied homes, while there is likely to be around 3,000 holiday and second homes. This is a total of 16,000 dwellings or a demand for another 9,500 dwelling units between 2001 and Visitor Accommodation There are around 6,000 beds in commercial accommodation in the Queenstown Area, serving, on an average day, 5,000 tourists (domestic and international) who wish to stat in commercial accommodation. Added to this are people staying with family or friends or renting a home for a short period. By 2021, if annual average growth rates remain at around 4% to 5% per year, then there are likely to be around 12,500 tourists looking to stay in commercial accommodation, not including camping grounds. As most visitor beds in commercial accommodation will be provided in the future in the form of rentable apartments, this means there will be demand for around 4,000 apartment type units between 2001 and A further 6,500 visitors will be staying with family, friends or in other forms of accommodation. The total stock of visitor beds will be around 16,

23 2.7.3 Employment In 2002, roughly 50% of people worked in business and commercial areas, while 50% worked in residential areas, or at least had their business address listed as a residential address (for example builders and other tradespeople ). The percentage of employment in residential areas is higher than in other towns, but this reflects the large number of hotels and other visitor accommodation activities, as well as the high number of tradespeople working in the area. Most tradespeople have their home address as their work address, but spend most of their time at construction sites. Based on Statistics New Zealand data relating to job location, of the 50% of people working in business and commercial areas, it is estimated about 30% work in the Queenstown CBD and commercial areas in Frankton, while the other 20% work in light industrial areas on Gorge Road, Frankton Flats and the airport. By 2021, there could be up to 20,000 jobs in the area if the economy grows fast. For these projections a slightly lower figure of 17,500 full-time equivalent jobs in the area is used, an increase of 10,000 jobs. If it is assumed that 50% of these additional workers will continue to work in residential areas, or at least be based there, the other 50% will need to have workplaces in business areas. If it is assumed that of this 50%, half will work in town centres in offices, shops and other commercial activities, this equals another 2,500 workers in these areas. These workers are likely to need around 100,000 square metres of floorspace, based on between 35 to 40 square metres of floorspace per person. There is space for about another 80,000 square metres of floorspace to be built in the commercial areas of the CBD and Frankton Flats, with most in Frankton Flats. For people working in light industrial areas, 2,500 to 3,000 more people are likely to work there. There is space for about another 900 jobs in existing light industrial areas, leaving an unmet demand for about 50 to 60 ha of land for light industrial and service activities Transport Future transport needs are hard to assess. Typically, each new household generates an additional 10 car trips per day. With just under 10,000 more households expected between 2001 and 2021, that equals another 100,000 vehicle trips in the area on a busy day. Some of these trips are for short distances, others are trips to the CBD, school or for work. More businesses and visitors in the area will add further traffic. Currently 12,000 vehicles use Frankton Road per day near the CBD, with perhaps up to 20,000 vehicles on the more congested stretches of the State Highway network near 19

24 Frankton during busy periods 5. This is an average of around 16,000 vehicles. If current travel patterns continue, by 2021 the road capacity (around 26,000 vehicles per day) will be exceeded. Travel times will increase substantially and there will be significant delays at intersections. This raises issues about the capacity of the CBD area, as well as the future for passenger transport. Demand for walking, cycling and buses will also rise. Taking the journey to work as an example, in 2001, 1,000 people cycled or walked to work. By 2021, up to 2,500 people may walk and cycle each day. In the Queenstown CBD there are around 1,100 car parks, on the road as well as in offstreet public and private car parks. This is about 1 car park per 70 sqm of floorspace, or 1 park per 1.8 workers. Queenstown airport records around 2,800 passenger movements per day during busy periods. By 2023 this could climb to around 6,500 passengers. The airport has the capacity to roughly double passenger numbers before the current limits of the air noise boundary around the airport are met. The air noise boundary establishes a bucket of noise that can be gradually filled up as more and more planes fly into and out of the airport. Once the bucket is full - the air noise limit is reached - either the noise boundary needs to be pushed outwards to cover more land, making the bucket bigger, or bigger planes and/or quieter planes are needed to extend the capacity of the airport within the noise limits. This limit on the capacity of the airport may affect tourist numbers and with it economic growth rates. It is estimated that between 20 and 25% of visitors currently arrive via the airport. The airport is therefore a possible constraint on growth in tourism numbers Reserves As the population grows there will be increased demand for reserves and community facilities. In terms of the total area of reserve land, Queenstown is generally well served at present, but there is a wide variance in the provision of different types of reserves. Overall, the Queenstown area currently has around 102 hectares of open space per 1,000 usually resident population (this only counts council reserves if DoC reserves were added, this figure would be much higher). If no new land is acquired, then this figure is predicted to drop to around 41ha/1,000 by Whilst these figures look healthy, they are boosted greatly by the large areas of open space with limited recreation opportunities, such as Arrowtown Plantation (forest) and Ben Lomond scenic reserve. Whilst these areas are a valuable part of the reserve network, other types of reserves are also needed to cater for different needs, such as sports grounds, local playgrounds and community buildings. The table below outlines the current level of service (hectares per thousand people) in the Queenstown area, as well as the future level of service in 2021 if no new land is acquired. 5 Transit NZ data. 20

25 Table 6 Reserve needs Reserve type Ha/ Ha/ District reserves Local & neighbourhood reserves Open space passive reserves Sports ground mixed use Other These reserves meet different needs: District reserves are high quality reserves in attractive locations with a high level of facilities and landscaping, highly used by locals and visitors alike (e.g. Queenstown Gardens). The visitor impact on these reserves is significant and will increase in the future as these reserves are quite small, often close to the CBD and other high use areas, and there are limited opportunities to acquire new land in this category. Local reserves and neighbourhood reserves are similar in that they are smaller reserves in residential areas and provide mainly for use by local residents. Neighbourhood reserves are more developed than local reserves, and include facilities such as playgrounds, seating, paths and amenity lighting. There is some visitor pressure on these reserves, particularly when they are located in areas with a high proportion of holiday homes. Sports reserves are self-explanatory and provide land for sportsfields and other formal sporting uses such as tennis and netball courts. The traditional New Zealand standard for the provision of these reserves is 1.8 hectares per 1,000 population. The table above shows the Queenstown area will drop well below this standard by 2021 if no additional land is acquired. 21

26 Open space passive reserves typically consist of large reserves that provide for informal leisure experiences, such as walking around the lake edge. These reserves are often hilly and usually have basic facilities such as walkways, an informal carpark and perhaps toilets. Other reserves includes exclusive-use land such as golf courses, as well as cemeteries, forestry areas, undeveloped road reserves, buffer areas and other undeveloped land parcels. These reserves provide some visual amenity value in terms of a sense of open space but are of limited recreational use. Taking the main urban reserves (district, local, neighbourhood and sports fields) the current level of provision is 8 ha per 1000 people. With more growth, particular pressures are likely to be faced in the supply of local and neighbourhood reserves, although these pressures differ somewhat for different geographic parts of the Queenstown area. Table 7 below summarises the current level of service broken down by area. These figures can be compared to the traditional New Zealand standards for reserve provision to provide an indication of how the level of service will decline in future if no additional reserve land is acquired. Area Table 7 : Local and neighbourhood reserve provision Ha/1,000 year 2001 Ha/1,000 year 2021 (if no further land is acquired) Traditional NZ standard for local and neighbourhood reserve provision Queenstown Bay ha/1,000 Frankton and Kelvin Heights ha/1,000 The figures indicate the Frankton and Kelvin Heights area is well served for neighbourhood reserves, although this is skewed by the large area of Jardine Park. This park has potential to be developed into a district reserve, perhaps to take some pressure off Queenstown Gardens. If Jardine Park is taken out of the equation, the Frankton/Kelvin Heights level of service drops to 2.3ha/1,000 in 2001 and 0.74 ha/1,000 in This indicates that new neighbourhood reserves will be required as the Frankton/Kelvin Heights area is developed. The Queenstown Bay area is currently under-provided with neighbourhood and local reserves. This situation is expected to deteriorate in the future if no new land is acquired. 22

27 2.7.6 Libraries The wider Queenstown area has two libraries: one in the CBD (around 900m 2 floor area) and one in Arrowtown (around 200m 2 ). Given the future population growth, these facilities (particularly the main Queenstown library) will begin to get crowded and cramped. The Library and Information Association of New Zealand Aotearoa (LIANZA) publishes the Standards for New Zealand Public Libraries (1995). These standards recommend a level of service of 70m 2 of library space per 1,000 population. The current level of service in the Queenstown area as a whole (Queenstown and Arrowtown) is around 90m 2 per 1,000 population. If there is no expansion of library facilities this will drop to around 36m 2 per 1,000 population, meaning Queenstown will go from being above the national standard to around half the recommended national standard in terms of library provision. To maintain Queenstown s current level of service for library provision, an additional 1600m 2 of library space would be required by However, the recommended national standard could be maintained with an additional 1,000m 2 of library space Community facilities Future population growth will place additional pressure on community facilities such as halls and meeting rooms. The current facilities in the CBD are already under pressure, and there is demand for more modern facilities. The current proposal for a new community centre is designed to meet that demand, as well as provide for future growth. The Frankton area has very few community facilities, and needs are largely met through the church hall. Given the predicted growth in the Frankton/Kelvin Heights/Jacks Point and Wakatipu Basin areas, a new community facility at Frankton is expected to be needed before This would ideally be integrated with a new library, and would provide some smaller meeting rooms as well as a larger space. This facility could provide for a range of community needs, such as yoga and exercise classes, meeting spaces, music classes and other community activities. This facility could also be provided as part of a joint facility shared with a school in Frankton. The Southland District Health Board foresees the need to expand services at the hospital between 2006 and This will involve more community-based and more out-patient services. There is room on the existing site to accommodate this expansion Indoor and aquatic sports facilities 23

28 The Queenstown Events Centre is an excellent indoor sports facility for a town of Queenstown s size. It is expected to meet the community s need for indoor sports facilities until at least School gymnasiums are also available to supplement this facility. A new aquatic centre is being planned and is expected to meet the needs of a growing community until at least

29 2.8 Summary of growth needs First 10 Years Additional residents Additional visitors (average ) Additional jobs Additional community assets 7,000 4,600 4,000 Additional houses Additional visitor units Additional business land 4,500 houses 1,400 30,000 to 40,000 sqm of commercial floorspace, and 10 to 15 ha of industrial land 60 ha of reserve land Larger hospital Second Ten Years Additional residents Additional visitors (average) Additional jobs Additional community assets 11,000 6,300 5,200 Additional houses Additional visitor units Additional business land 5,500 houses 2,500 50,000 to 60,000 sqm of commercial floor space, and 40 to 50 ha of industrial land 90 ha of reserve land New library and community facility at Frankton. Another primary and high school? 25

30 2.9 Queenstown and Wakatipu Basin under a business-as-usual future This section of the report looks at what is likely to happen under a business-as-usual future. The twenty year period between 2001 and 2021 is broken down into two ten-year steps Visitors and Visitor Accommodation Most new visitor accommodation will be built in and around the CBD in the form of rentable apartments, along with some new units along Frankton Road. Up to another 1,000 visitor units are likely to be added. Visitor accommodation is also likely to be provided at Jacks Point, Remarkables Park and in selected areas in the Wakatipu Basin, say a further 500 units. Tourist facilities and shops will continue to cluster in and around the CBD, expanding the edges of the centre but within the existing commercial zoning. Rents and land values in the CBD will continue to increase Visitor accommodation will continue to grow in and around the CBD along with significant growth along Frankton Road. Space is needed for a further 1,500 visitor units. This growth will displace some permanent residents and means that tourists will outnumber permanent residents in the CBD area. The balance of the demand for visitor accommodation units (1,000) will be met by further growth at Frankton Flats and in areas already zoned for accommodation in the Wakatipu Basin. High rents and land values in the CBD will also start to displace local retail and commercial activities (e.g. banks) out of the core of the CBD. The CBD will increasingly become devoted to serving the needs of tourists and become less of the heart of the community. 26

31 2.9.2 Business and employment Existing industrial areas will fill up. Further retail development will start at Remarkables Park and Frankton Flats around 20,000 sqm of commercial floorspace may be added to areas already identified for commercial activities. Further business (office) and tourist-related retail development will occur on the fringes of the CBD, including the Gorge Road and Industrial Place areas, in accordance with their zoning. Around 10,000 to 20,000 sqm of floorspace needs to be added. This can occur within the current commercial zone There is little further development in the CBD s commercial zone as it will have nearly reached its capacity. There is demand for at least a further 15,000 to 20,000 sqm of floorspace to be added to this area floorspace that cannot be accommodated in the CBD under current bulk and location rules. Pressure will mount to expand the current town centre. This process eats into the residential areas, creating concerns about loss of housing, as well as adverse effects on amenity. This would require relatively new (less than 20 year old) apartments to be demolished to make way for commercial expansion which will push up development costs. More industry is likely to be forced out of the Gorge Road area as pressure mounts for more commercial-related activities to locate in this area. A larger shopping area serving the day-to-day needs of the wider community is likely to develop at Frankton. Perhaps another 40,000 to 50,000 sqm of commercial floor space is likely to be added. Some businesses may begin to shift out of the CBD to Frankton in search of better parking and easier access. By the end of the period there is likely to be a severe shortage of industrial land. Approximately 40 to 50 ha of land is needed to meet demand, with no prospect of finding such an area within the current urban limits. The lack of industrial land may put a brake on economic growth. The costs of goods and services are likely to increase significantly as most goods will have to be trucked in Population and residential housing 27

32 Frankton Flats will continue to be a popular housing area, along with Kelvin Heights, as people seek sunny, more open sites. Arrowtown will reach capacity and growth of the resorts, settlements and ruralresidential areas in the wider Basin will remain fast. Housing in the Queenstown Bay area does not grow much, as current trends favour housing for residents on the periphery of the settlement. What housing growth occurs is likely to be focused on rental accommodation, including some accommodation for short term workers Frankton Flats, Frankton Road and Sunshine Bay/Fernhill areas are likely to reach capacity. Kelvin Heights will continue to grow at a steady rate, with most sections in the 800 to 1000 sqm range. Growth of the settlements in the wider basin remains fast (within current special zoned areas, e.g. resort zones) but costs will rise as land becomes more scarce. Growth in residential units occurs in Queenstown Bay as it is one of the few areas left with spare capacity. All development is in the form of apartments and terrace housing. There is a shift towards units that meet the demand from families for housing. There will be pressure to increase the height of development. More housing in the area will put pressure on public spaces and assets in the area. 28

33 Houses Sunshine Wider CBD Area Frankton Rd Frankton Flats Kelvin Heights Arrowtown Wakatipu Figure 6: Housing by suburb Wakatipu includes Jacks Point and other resort areas and townships in the basin. Figure 7 shows predicted housing growth by suburb between 2001 and It can be seen how for some suburbs, such as Frankton Road and Arrowtown, there is little growth as there are few development opportunities available. In contrast places like Queenstown Bay and Kelvin Heights continue to grow as there is room for more housing in these areas. Between 2016 and 2021 the supply of land for more housing will become restricted. Affordable accommodation for workers and residents will become an even more significant issue than it is today. There is a lack of opportunity for this type of housing in all areas due to rising land values. Possible locations, such as Queenstown Bay and Frankton Flats, are likely to become uneconomic due to the growth of the visitor accommodation sector in these areas. There is likely to be some displacement of growth to outer lying settlements such as Glenorchy and Kingston, but the numbers are not likely to be great due to the distances involved, and will mainly include moderate to low income households. Increased travelling costs erode the affordability of living in the outlying townships. As capacity within the existing urban area is rapidly taken up, pressure will build for a new settlement to be developed in the Wakatipu Basin, perhaps adding to the current development at Lake Hayes Estates (Carolina) or in another location. The principal issue is where such a settlement would have least visual impact, rather than transport, socio-economic or wider growth management issues. 29

34 Capacity 120.0% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% Figure 7: Take-up of total housing capacity 2001 to 2021 Figure 8 shows, under a fast growth future, how after 2016 most of the capacity for additional houses provided for under current growth plans gets taken up. At about 80% capacity, land markets become very inefficient. A restricted supply of opportunities for housing means that land values start to rise very quickly. This may have the effect of slowing growth rates, or it may mean pressure builds for new housing areas to be identified. This is discussed later in the report Community facilities A new primary school will be built at Frankton Flats. The high school expands on its current site, offering more courses and attracting more staff. Expansion of health services and facilities is likely to occur on the Frankton hospital site. A greater number of GPs offering more choice for residents is also likely. Additional sportsfields will be developed at Frankton Flats. Demand will grow for more neighbourhood reserves in the Queenstown Bay area but land values mean it is very expensive to add to current stock. Some reserves will need to be upgraded instead. 30

35 Council is likely to have to invest substantially in Queenstown Gardens to help spread the visitor load on the waterfront, but few locals like to visit the CBD and the surrounding amenities. An aquatic centre will be built in Frankton, developing the role of Frankton as an important community hub Pressure starts to build for a new high school as the existing school is likely to reach capacity on its current site, but there is limited land for this new school and no site has been reserved. Options include Frankton Flats or somewhere in the basin. Expansion of health services and facilities is likely to continue on the current Frankton site. It is possible that a private health care provider may also set up. Further sportsfields will be developed in Frankton Flats Demands on neighbourhood reserves in the Queenstown Bay area are now acute, but land values mean it is now very expensive to add to current stock. The inability to expand the stock of reserves reduces the quality of the area. Growth in the Frankton / Kelvin Heights area, coupled with increased travelling times into the CBD will create the need for a new branch library and community facility in the Frankton area. The newly commissioned civic facility in Queenstown CBD may only partly serve local needs because most community activity and shopping for locals is now in and around Frankton. The Queenstown Events Centre and Remarkables Community Centre will become increasingly economically viable and less reliant on commercial operations such as conferences. There is a need for better quality neighbourhood reserves in the Frankton area, as the population of the area grows. Jardine Park will need to be developed Infrastructure Levels of service (free flow of traffic) on Frankton Road (currently 16,000 vehicles per day on a busy day) are likely to start to decline between (at around 20,000 vpd). Average travel times will increase from around 12 minutes to perhaps 18 to 20 minutes during the day, and be unpredictable in the peak period. Bus services are likely to increase but travel times will also slow and become more unreliable as they get caught in the congestion. 31

36 Reverse direction traffic flows between Queenstown CBD and Frankton are likely to grow as people travel to workplaces, shops and community facilities in Frankton. Carparking demands in the CBD will increase substantially. There is likely to be a growing spill-over of parking into residential areas as parking in and around the CBD becomes harder to find Frankton Road will reach capacity after Average travel times could be over 30 minutes and will be unpredictable during the whole day. Bus services will also become unreliable as buses get caught in the congestion. An infrequent ferry service may begin between Frankton and Queenstown, principally supported by the growing number of visitors accommodated in the Frankton area, but numbers are unlikely to be sufficient to support a comprehensive service. Growth in and around Queenstown Bay expected in this period will not necessarily help reduce congestion (i.e. people walking to work and the CBD, rather than driving). The inability to expand the town centre means most people commute to jobs in the Frankton area. Further private carparking operators are likely to enter the CBD market, helping to redress some parking issues, but also inducing more traffic to travel to the CBD. The airport is likely to reach capacity after Either the current air noise boundary needs to be enlarged (i.e. it covers more properties) or growth in the number pf passengers will be dependent upon bigger and quieter planes. 32

37 2.10 KEY GROWTH MANAGEMENT ISSUES FOR QUEENSTOWN Having sketched the growth pressures that the Queenstown/Wakatipu area faces over the next 20 years, and the consequences of these growth pressures given current growth plans, this section of the report highlights four key growth management issues that need to be addressed. These are: Long-term urban growth pressures. Role and function of the Queenstown CBD. Economic growth. Transport. For each of these issues, there is a short discussion of the importance of the issue to the community outcomes set out in the first part of the report. Following this, a range of possible growth management techniques are outlined for discussion. The possible methods are listed in the table on the following page. In general, the council can use five sets of tools to manage growth. These sets of tools relate to: Reducing the rate of growth. Internalising (changing) the cost of development. Managing the location of development. Influencing the type of development. Improving the quality of development. The council already uses a number of different tools under these general headings. All of these techniques affect the nature, scale and timing of growth. Obviously growth management techniques that aim to reduce growth rates have more influence on the timing of growth pressures than, say, techniques which aim to improve the quality of development. Many resort communities focus their attention on influencing the balance between different land uses in their community, and the location, character and form of growth, rather than focusing on the rate of growth. This is because reducing rates of growth is difficult to achieve and usually highly contentious. There are also a number of major legal limitations to the use of growth management techniques that seek to overtly slow growth. Appendix Two contains a discussion of slow growth management techniques. 37

38 Consequence Long-term urban growth pressures Possible methods Slow the growth Satellite/township development Internalise development costs Urban growth boundaries and more compact growth Role and function of the CBD and surrounding area Manage growth pressures (growth caps, control the location of visitor accommodation ) Develop Frankton as second centre Economic growth Slow the growth Improve open spaces and the quality of design More efficient use of existing business land Add to the stock of business land Affordable housing Transport Take a hands off approach Slow the growth Better traffic management Create alternative road routes Internalise costs More public transport, walking and cycling Integration of land use and transport 38

39 URBAN GROWTH PRESSURES Relevant community outcomes This issue is associated with all of the community outcomes: 1. Managing growth in a way that is sustainable. 2. Respect the dominance of our magnificent mountain, lake and rural environment. 3. Build a strong, diverse and inclusive community for people of all ages. 4. Create high quality urban environments where safe community life can flourish. 5. Provide infrastructure for a growing population. 6. Improve access to and through rural and urban areas with good roads, the green network, walkways and public transport. 7. Grow the strength of our economy. Under a business-as-usual approach, and given a high growth rate, all existing residential capacity is likely to be taken up between 2016 to This will create pressure for new urban areas to be added after 2021, or for much more intensive development to occur in the existing built-up area. After 2021, further growth is likely to have to be in the form of any one (or combination) of the following: Further infilling of the existing urban area, but this is likely to be confined to suburban areas, especially Frankton Flats and Kelvin Heights and would involve considerably smaller sections than at present. High rise development in and around the CBD and possibly in the Frankton area involving the removal of current buildings and their replacement with apartment buildings. Further rural residential, resort and cluster type development in the basin. Demand for additional village and resort type zonings in the basin. How future growth pressures are managed is relevant to all community outcomes: 39

40 Expansion of the urban area into the Wakatipu Basin will put at risk the natural landscape features of the area, undermining the sustainable development of the economy, while the visitor experience offered by the urban area may be diminished if the quality of development is poor. There will be significant pressures on infrastructure, especially roading networks, both within the existing urban area as well as in the basin, if there is dispersal of activities into the basin. The diversity of the community will be reduced if, post 2021, constraints on land supply mean that land prices escalate even further, reducing opportunities for affordable housing. Economic growth will also be slowed by a lack of land for services and light industrial activities. Overall, in 15 to 20 years time the area will face critical thresholds in terms of land supply for housing and visitors. Land supply constraints on business development will be felt even earlier. The community needs to anticipate these constraints and plan for them now, otherwise the quality of life in the area, and its value as a tourist destination, will probably suffer in the future. In particular, it is necessary to plan for more intense development within the urban area POSSIBLE STRATEGIES to MANAGE the CONSEQUENCES to URBAN FORM Slow the growth Slowing the growth may involve putting a cap on the total number of visitor accommodation and/or residential units that is possible to build. Alternatively, it may involve rules in the council s District Plan that limit the number of visitor units that could be built in any one year to 2% of total current stock, for example. To achieve this, each year the council would need to determine that a certain number of visitor units could be built in the area. This quantum of units could then be bought and traded amongst developers (as in Whislter, BC, Canada) or allocated to the best developments (as in Aspen, Col, USA). Another way of restricting visitor growth may be through restrictions on the capacity of the transport infrastructure that serves the area. As discussed above, at some point in the future, the airport will reach its capacity. This may limit, to some extent at least, growth in visitor numbers but it will also affect residents and businesses. If the growth in visitors is slowed, then economic growth rates may decline, and with it residential growth rates. Slower growth is therefore likely to delay the date when current capacity for more houses in the area is reached, as well as the capacity of other infrastructure such as roading. A delay may make planning for this eventuality easier. 40

41 Slowing the growth may also be seen as a way of pushing the visitor market towards fewer, but higher paying tourists. This would help to retain levels of economic activity without having to flood the town with mass market tourists. However, this outcome may be better achieved through other techniques, such as how the area is marketed. There are a number of drawbacks/negative consequences with caps on growth rates relating to urban form: Caps on growth rates have not yet been used in New Zealand under the Resource Management Act, but they are a possible tool if they are tied to environmental protection. However, their implementation is likely to raise a raft of legal and technical challenges, so it will be important to understand their feasibility. Growth caps tend to displace growth to other areas. In the case of Queenstown, there are few opportunities to export growth to other places, unless the community is prepared to put up with people driving long distances from satellite areas into the Queenstown area. Unless slowing the growth of residential or visitor accommodation is also tied to its location (Frankton or the Queenstown CBD), a slower rate of growth will not necessarily alter other pressures, such as the over concentration of activity in the Queenstown CBD area. Slowing growth in the Queenstown CBD area, while at the same time encouraging growth in the Frankton area, may be a more useful strategy, for example. Growth caps may mean that Queenstown cannot upgrade the quality of its service. Evidence from other cities that have growth caps is that growth caps raise house prices. Over time the businesses struggle to attract and retain staff and as a result the service offered to visitors falls. Development of a range of community facilities is likely to be put back by slower rates of residential growth including: o o o o o o Aquatic centre New civic centre Expanded hospital Possible private medical facility Additional sportsfields, whether at Frankton or another location Additional retail and business activities in Frankton people will still need to drive into the CBD. There may be financial issues for the community if, despite the growth cap, expectations for more and better infrastructure remain high. With slower growth, the council has to operate off a rating base that only grows modestly each year. This will 41

42 make infrastructure more expensive on a per-head basis. Services such as public transport which needs lots of people to be viable will be more costly to run. Overall, slow growth policies may help in planning for future problems, and there may be a role for some management of growth rates as part of a package of techniques, but slow growth policies will not solve the underlying problems. Slow growth may mean that the area will reach its current capacity in 2030, rather than 2020, but the current capacity will still be reached at some point, while growth pressures will remain. As will be discussed later, other actions the council can take to manage the consequences of growth, such as better quality development and increased development contributions will have, as a side effect, some impact on growth rates. Community outcome Effect on outcome Sustainable development Protection of the environment Likely to help by giving more time to plan for growth, but can see imbalances grow between social, economic and environmental goals. Will help to protect the environment. Increase the diversity of the community Improve access Upgrade the quality of the urban environment May reduce the diversity of the community if growth caps lead to higher housing and land prices. Will help to slow growth in car numbers, but will also lengthen the time it takes for public transport services to be extended. May help, depending upon how growth caps are implemented. Caps need to be tied to good urban design outcomes. Provide infrastructure for growth May help if slowing the growth helps with planning, but it may also make infrastructure harder to fund. Grow the economy Likely to dampen economic growth rates over time and make it harder to upgrade the quality of service and expand the economic base of the area. 42

43 Satellite/township development Rather than slow the growth, growth could be directed to other localities, such as Glenorchy, Kingston or Cromwell. This might take pressure off the Queenstown/Wakatipu Basin area. Satellite development however, often results in mixed outcomes people may end up living a long way from jobs and services, for example. In the case of Queenstown, satellite towns would have to be some distance away if they were not to be located in the Wakatipu Basin. Geography means that current settlements which could act as satellite centres are all 45 to 60 minutes drive away. Satellite towns are likely to become dormitory suburbs, if their development does not also include visitor accommodation and workplaces. Economic incentives like free land or no rates are likely to be needed to make this happen, without an undesirable lag time. They may not be big enough to support a range of social and community services. Distance and a limited range of services will mean people living in satellite areas will need to travel a lot to workplaces and to access medical, community and retail services in Queenstown. This will increase their cost of living, and therefore relative affordability. It is likely that other settlements will grow as Queenstown grows larger, but this will be a natural process as some people shift out of the Queenstown area in search of a quieter lifestyle. Some displacement of tourist activity is likely to occur as some visitors seek a more relaxed experience. Wanaka is likely to be the main recipient of this trend, at least in the medium term. This process is valuable and needs to be facilitated by planning for the gradual growth of these other settlements. It could also be facilitated by the council working with tourism operators and accommodation providers to help increase the range of facilities and services on offer in other locations. Community outcome Sustainable development Protection of the environment Effect on outcome While it may help the main urban area and the basin cope with growth, the policy raises fundamental issues about the sustainability of the satellite areas. Will help to draw off growth pressures around Queenstown and in the Wakatipu basin, but will increase growth pressures in other places. Increase the diversity of the community Improve access May help to retain diversity over time. Access from satellite areas to main urban areas will be an important issue. 43

44 Community outcome Effect on outcome Upgrade the quality of the urban environment Provide infrastructure for growth Depends upon how growth is managed rather than its location. New infrastructure will have to be provided in the satellite growth areas. This will be expensive to provide. Grow the economy While it will provide more options for businesses, such a policy is likely to push up the cost of living in the area User pays internalising the costs of new development By increasing the cost of developing in the Queenstown area, growth rates may be slowed, or more growth may be redirected to other localities. The council has considered mechanisms like a bed tax to help raise revenue to meet the public infrastructure demands of the visitor sector, while it is also developing a system of financial contributions which all new development will have to pay to help expand services like water, wastewater and open space. These types of financial contributions may slow growth rates, although a lot depends upon how much the contributions are relative to other development costs. In general, financial contributions are a small part of total development costs, and these costs are usually incorporated into the price of land and the final building product. In other words, they may not slow growth, altogether, but they will help ensure the council has the resources to manage the pressures of that growth on infrastructure. However, if development costs that cover a range of effects of development are combined, then the total effect may be to make development a lot more expensive, compared to other locations. For example, if levies for roading, reserves, infrastructure, affordable housing and community facilities were imposed, then some development may shift to other locations to escape the high costs. In addition, it is possible the higher development costs will push the visitor industry to seek out higher-paying visitors, and this may help control the growth of visitor numbers. The funds generated could be used to help the supply of affordable housing, thereby helping retain the diversity of the community, while improvements could also be made to public transport and other forms of movement. 44

45 Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will help make development more sustainable by ensuring development covers all its costs. May help to slow growth where the required contributions are high, but will increase growth pressures in other areas. May help increase diversity, depending upon how the funds collected are spent. Funds could be used to help pay for better facilities for walking and cycling and public transport. Revenue from user-pays could contribute to more and better open space and better streetscapes. Will ensure there is funding for new and additional infrastructure. May harm the economy if costs are very high, but otherwise should assist growth by helping to fund required infrastructure Urban growth boundary and more compact growth Under this strategy, an urban growth boundary would be established, and the District Plan would be changed to enable the more intensive use of some areas within this boundary. More growth within the current urban boundary means less pressure for outward expansion. Currently the District Plan allows for intensive housing development around the Queenstown CBD area, along Frankton Road and at Remarkables Park at Frankton Flats. This concept of intensification could be modified and extended to other areas. For example, the wider Frankton Flats area could be identified as an important area for more housing. This would involve extending the current higher density potential of Remarkables Park to Woodbury Park and the Frankton foreshore. Within the Frankton Flats area, apartment development is already possible. Low rise apartments offer comfortable living arrangements that are warm, energy efficient, make good use of land 45

46 and have the ability to retain some green space around buildings. Some selective intensification may also be possible in other areas, such as part of the undeveloped land in the Kelvin Heights area. As part of this package the amount of intensive housing around the CBD could be reduced. This will help take pressure off the CBD area. Figure 9 shows one possible strategy where more opportunities for housing at Frankton Flats are provided, while the amount of development around the CBD area is reduced. More housing at Frankton Flats would take pressure off both the Basin and the Queenstown CBD area, while increasing the total capacity of the current urban area to absorb more growth. Additional Houses Sunshine Wider CBD area Frankton Rd Frankton Flats Kelvin Heights Arrowtown Wakatipu Business as Usual Compact Growth Figure 8: Business as usual versus compact growth additional houses A critical issue for more compact development at Frankton Flats is the long-term development plans of the airport. If the airport needs to expand capacity by increasing the size of the air noise boundary, then this may stymie the ability to build up the population of the Frankton Flats area. This then creates a fundamental dilemma if the airport expands and tourist numbers continue to grow, the population may not be able to expand in a way that meets community outcomes related to protecting the wider environment and supporting economic growth. More development in the Frankton Flats area may also require a reassessment of the open spaces in the area. Land close to the airport needs to be used for business and industrial activities. The vacant land for future sportsfields at the events centre may be best devoted to housing development, with a new sportsfield hub developed somewhere in the basin, helping to retain a green belt in the area. Decisions about further sportsfields and open space needs must weigh up the benefits of accommodating more people in the Frankton area rather than see these people spread out into the basin. 46

47 Apart from these issues, more compact development also brings with it a host of other issues. To be viable, more compact development needs to be carefully managed by the council. Intensive housing places more pressure on public resources than low density housing, and this needs to be recognised in council s planning. In areas subject to intensification, the council needs to plan for better quality open spaces and upgraded streetscapes, while controlling the design of new development. It also needs to reserve space for community activities. Local and neighbourhood reserves will become increasingly important as the existing urban area builds up. A common standard for neighbourhood and local reserves is a neighbourhood/local reserve should be available within an easy walking distance of all housing areas. This typically equates to a 400m to 800m radius (5 to 10 minute walk). Such a standard should be applied to new housing areas. Under a more compact form of growth additional lakeside and riverside reserves may need to be acquired, possibly through the subdivision process. The recreational pressure on some of the parks around the lake edge and in the wider basin area will increase as people seek a respite from the more built up urban environment, leading to demand for improved facilities, such as improved walkways, public toilets, car and trailer parking and boat ramps. Over time there will also be demand for a new high school as the existing school reaches capacity on its current site. Frankton will have to provide for this. A tertiary institute is also possible. Expansion of health services and facilities will continue in the Frankton area. Careful attention also needs to be paid to affordable housing. A consequence of a more compact city is rising land and property prices. This could affect housing affordability. Managing this pressure will require the council, and agencies like Housing New Zealand, to take a proactive approach to its provision. Housing New Zealand may need to provide rental units, while the council may need to look at a range of techniques to promote affordable housing. One option would be for the council and the community to establish a Housing Trust that could build and administer affordable housing. The Housing Trust could be funded from levies from developments, for example. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Effect on outcome Will help make better use of current urban land resources. Will help protect the Basin and other areas from urban sprawl. Will assist diversity if associated with programmes to promote affordable housing. Can help support passenger transport, but will also increase the number of cars in areas subject to intensification. 47

48 Community outcome Effect on outcome Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Depends upon how the more compact development is designed. May require the upgrading of local infrastructure to cope with extra demands. Will help retain critical features of the area and as a result, its attractiveness as a business and tourist destination. 48

49 Consequence: role and function of Queenstown CBD and surrounding area Relevant community outcomes This issue is associated with all of the community outcomes: 1. Managing growth in a way that is sustainable. 2. Respect the dominance of our magnificent mountain, lake and rural environment. 3. Build a strong, diverse and inclusive community for people of all ages. 4. Create high-quality urban environments where safe community life can flourish. 5. Provide infrastructure for a growing population. 6. Improve access to and through rural and urban areas with good roads, the green network, walkways and public transport. 7. Grow the strength of our economy. The business-as-usual approach places an emphasis on the continued development of the CBD and the surrounding area to meet the majority of future business, retail and visitor needs a tall order. The retail and commercial area of the CBD will have to expand beyond its current commercial area, and there will be a lot more visitor accommodation and higher density housing in the area. By 2021 there could be 9,000 residents and 11,000 visitors clustered in an around the CBD. This means the character of the CBD and surrounding area will change. High rise buildings are a prospect and there will be more cars and traffic. At some point, these growth pressures will mean land within the CBD will get very expensive, while the main road into the CBD, Frankton Road, will become heavily congested. At this point many businesses may wish to move out of the CBD. Many residents may also wish to shift out, meaning that CBD will be increasingly devoted to the needs of visitors. To a certain extent these trends are unavoidable, but they can be better managed than they are now. Policies can be put in place so that the CBD grows at a more measured pace. Rather than crash into inevitable capacity barriers, and as a result go into a decline, the centre could have a more of a gentle landing. 49

50 Possible strategies for the CBD Managing growth pressures in the CBD One area where some sort of growth rate cap may be justified is in and around the CBD. A relationship between the capacity of the current CBD zonings, Frankton Road and the number of people who live or stay in visitor accommodation close by could be established. This relationship could be designed to preserve the current height and scale of the CBD, as well as mean that all of the capacity of Frankton Road would not be taken up by development in the core. At the moment, there are around 6,000 residents, 6,000 visitors and 2,000 workers in the wider CBD area. If the number of workers increased to 2,600 or about a third, as is possible under the current zoning, then the number of residents and visitors could also increase by a third to, say, just under 9,000 each. This is a total of 20,000 people. This would maintain the current ratio of residents to visitors. To this end new visitor accommodation in and around the Queenstown Bay area could be better managed by restricting its location to carefully selected areas close to the CBD and in pockets along Frankton Road. The aim could be for a rough 50/50 balance between new visitor accommodation units and dwellings for residents. As part of this, there could be some relaxation of height controls in specified places (4 to 6 storeys in height in places) to allow for more intensity but also more green space around buildings. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Effect on outcome Will help development to be sustainable, provided alternative locations for commercial and visitor accommodation development are identified. Will help to protect the environment of the CBD. Will help maintain diversity if alternatives to a CBD location are given. Improve access Depends upon where additional commercial development is located. Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Will help retain the built environment in the CBD. May require some additional infrastructure. The CBD is clearly important to the tourist economy, and moves to limit growth in and around the CBD will retain the current asset. 50

51 Developing Frankton as a second centre The other side of the coin of managing growth pressures around the CBD is there will need to be encouragement of growth in other areas (assuming a district-wide growth cap is not preferred or achievable). As discussed under the More Compact Growth option, developing Frankton as a second centre will involve a variety of actions. A key issue is the future of the airport and whether the air noise boundaries will need to expand. Efforts could be made to encourage more visitor accommodation to be provided at Remarkables Park and in the Frankton Flats area. Encouragement might involve the use of planning controls as well as the council working with developers and operators to make these places more attractive to visitors. The council could re-identify the future Frankton sportsfield land for a mix of housing and education activities. The existing events centre and the proposed aquatic centre could remain, plus the current sportsfield, as useful community resources. A new civic facility in Frankton beside the foreshore could become a new community focal point. It is expected the growth in the Frankton area, coupled with increased travel times along Frankton Road will mean a library will be needed in Frankton before This would be well located to serve the Frankton, Kelvin Heights, Jacks Point and Wakatipu Basin areas. The Frankton foreshore will need to be upgraded and improved. It could have a more natural, relaxed feel to it, complementing the urban feel of the Queenstown foreshore. The development of Frankton Flats as a second centre therefore requires the council to take a very proactive approach to its development. Significant issues arise around: Events centre and the surrounding land earmarked for sportsfields. Frankton foreshore. Airport mixed use zones. Noise attenuation related to the airport operation. Ferry terminals. Community outcome Effect on outcome 51

52 Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will help make development more sustainable by providing more options for business and commercial development. Further development at Frankton will help to protect the values associated with the CBD. May help increase diversity by increasing options and choices. More activities at Frankton will support passenger transport and walking and cycling in the Frankton area. Can improve the environment in Frankton, if new development is well designed. Demands on infrastructure can be spread between the CBD and Frankton area. Greater development at Frankton will help ensure there is space for more tourist accommodation and more businesses Better designed development and upgrading public and civic spaces Improving the quality of the built environment is important as places get busier. Better designed public and private development helps overcome some of the problems associated with growth. Upgrading existing reserves, through better landscaping and improved facilities, in order to improve their recreational experience and to enable the reserves to cope with increased usage will be important. In addition to this, areas such as the Frankton lake front and Jardine Park have the potential to be further developed to district reserve standard. This would help take pressure off the parks in the wider CBD area and also cater for a growing population in the Frankton/Kelvin Heights area. Streets will also need to be upgraded. As development gets more intense, the street becomes a more important space. It is an area where there is the ability to increase levels of amenity (more and better quality street trees, wider footpaths) while there is also the need to provide more space for pedestrians as on-site open spaces get smaller, people are more likely to use the street as part of their living environment. If they are well designed, local streets can become people s front yards. 52

53 As development gets more intensive, standards of urban design need to be improved. The relationship between buildings on adjacent sites, between the building and the street, and between units on the same site get more complex as buildings get closer together. The council could introduce non-statutory urban design guidelines that would provide information to developers, designers and home-buyers on important design issues. Alternatively, or in conjunction, the council could move to introduce urban design controls into the District Plan. Urban design controls would require developments to take into account certain urban design-based criteria. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Effect on outcome An upgraded public environment will go a long way to make development more sustainable by helping to improve standards of design, and support more walking and cycling and more compact forms of urban development. A better public environment in the urban area will help to make compact development more successful, and this will help to reduce the dispersal of activities into the basin. While not changing the basic structure of the community, a better public environment will get more people out using the environment, helping to promote a stronger sense of community identity. Walkways and cycleways can be upgraded as part of such a strategy. Upgrade the quality of the urban environment Provide infrastructure for growth Improvements to public spaces will flow onto better design of private development. Better public spaces will help to manage future demands on the open spaces. Grow the economy Improvements to public spaces will help the economy. 53

54 2.11 Consequence: Economic growth Relevant community outcomes This issue is particularly associated with all the community outcomes: 1. Managing growth in a way that is sustainable. 2. Respect the dominance of our magnificent mountain, lake and rural environment. 3. Build a strong, diverse and inclusive community for people of all ages. 4. Create high-quality urban environments where safe community life can flourish. 5. Provide infrastructure for a growing population. 6. Improve access to and through rural and urban areas with good roads, the green network, walkways and public transport. 7. Grow the strength of our economy. More industrial land will be needed soon. This will have to be in the basin, outside the current urban area, unless land can be identified now in the Frankton Flats area, as all industrial land in the current urban area will soon be committed. New industrial areas in the Wakatipu Basin will obviously result in adverse effects on the rural character of the basin. Insufficient business land will harm the economy and people s living standards. A lack of land for services will put up the price of goods and services more goods and services will have to be trucked in from other areas. The ability of the economy to develop a wider base will also be halted. Over time, this will reduce the diversity of the community. The ability to supply further visitor accommodation reaches an important threshold, post Under a business-as-usual scenario, limited development potential in the CBD area, restricted road access and high land costs mean accommodation providers will start to seek space in the Frankton area. But rapid population growth in this area means there are likely to be few opportunities for this after At this point, pressure is likely to mount for more visitor accommodation in and around Arrowtown, Lake Hayes and other areas in the basin. 54

55 Possible strategies for employment Slow the growth in a hands off way by doing nothing One possible way to slow overall economic and population growth rates may be to not add any further business land to the current stock. A restricted supply of business land is likely to mean that fewer service activities can locate in the area and that more goods and services will have to be trucked in from other places. This might raise the cost of living in and visiting the area and therefore dampen growth rates. However, such a strategy may not significantly slow growth in the number of visitors, as they are likely to be able to afford higher prices. It is likely to be the resident population that suffers most from such a strategy. It will also harm the expansion of the economic base of the area. New activities such as filming may not be able to find space to set up in the area. It also means that there is likely to be pressure for more businesses to operate out of residential (and other) areas, as well as sites in the Wakatipu Basin. This will cause adverse effects in these areas. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Effect on outcome Will not help the area to continue to grow. May see ad hoc industrial development take place in residential areas in the basin. Diversity will not be widened, as job prospects are likely to shrink over time. Access may be reduced as more goods and services are trucked in. Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Small businesses may start to locate in residential areas. Infrastructure will not be provided for growth. Economic growth will be slowed. 55

56 More efficient use of existing business land It may be possible to squeeze more businesses into the current industrial areas. Planning controls could be reviewed to remove landscaping and building coverage controls, for example. Rules for non-residential activities in residential areas could be loosened. These types of actions may help in the short term, but are unlikely to meet all the future demand, while such an approach could mean a lower quality of environment will be created in the future. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will help improve the use of land, while still allowing for more growth. Will reduce pressures for more rural land to be converted to urban use. Can help small businesses get established if development costs are reduced. Depends upon the location of the business areas. May lead to some loss of amenity (less landscaping for example). No real difference. Will help the economy continue to grow Add to the stock of business land There is a need for additional land for businesses and light industrial activities. The only realistic option for this, unless extra land is found in the basin, is for more industrial activities to be located in the Frankton Flats area. There are three possible areas for further business and retail development: Remarkables Park, Woodbury Park and on land owned by the airport company close to the runway and within the airport noise contours. 56

57 In terms of retail and commercial development, both the Remarkables Park and Woodbury Park areas have the opportunity to add more retail activities and this is likely to happen. This will help meet future demands to some extent. The existing neighbourhood centre could also expand. Careful design is needed so the three centres at Frankton work in unison. In terms of land for light industrial activities, long term the council may also need to consider shifting the sewerage ponds, or at least releasing the land for industrial activities if new technologies mean the ponds are no longer needed to treat waster water. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will help the area to continue to grow. May involve the use of some more land. More business land will help to diversify the economy and along with it the community. Have more workplaces closer to where people live, help to reduce congestion and travel costs. Depends upon how the new business areas are developed. More infrastructure will be needed. Will help the economy to continue to grow and diversify Affordable housing A lack of affordable housing for workers has been identified by a range of groups as a potential barrier to increased economic growth. In particular, if workers in the visitor and hospitality sector cannot find affordable housing, then this may slow growth rates. Slower growth rates would harm the economic prospects of the area. Strategies to promote affordable housing will need to be looked at by the council. This might include commercial activities like visitor accommodation having to contribute towards the cost of supplying worker accommodation. 57

58 Community outcome Sustainable development Protection of the environment Effect on outcome Supports more compact forms of growth that use less resources. Good quality affordable housing can assist with more compact forms of urban development, reducing the need for urban sprawl Increase the diversity of the community Affordable housing helps retain diversity in the community. Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Affordable housing can be located close to services and transport routes. Publicly funded housing can help demonstrate good urban design. Access to affordable housing is an important issue in attracting workers to the area. Affordable housing will help the business sector. 58

59 Consequence: Transport Relevant community outcomes This issue is associated with all the community outcomes: 1. Managing growth in a way that is sustainable. 2. Respect the dominance of our magnificent mountain, lake and rural environment. 3. Build a strong, diverse and inclusive community for people of all ages. 4. Create high-quality urban environments where safe community life can flourish. 5. Provide infrastructure for a growing population. 6. Improve access to and through rural and urban areas with good roads, the green network, walkways and public transport. 7. Grow the strength of our economy. Transport is the main infrastructure area that will come under pressure first as the area continues to grow. Traffic levels are growing quickly and Frankton Road will reach capacity in around 10 to 15 years time. At this point, alternatives like buses and ferries will become more viable, but unless they are planned for they will not have the space or facilities needed at either end of the trip (for example, wharfs and associated park-andride areas). Increased transport costs will hurt people and businesses. Households on lower incomes will not be able to get around as much, while businesses will need to invest in more trucks and vans as getting about will take longer. The tourism industry will also suffer. It will be harder for people to get into the area, while the increased congestion will make the area less pleasant. The airport will reach capacity before 2021, unless steps are taken to expand the noise boundary. This proposes a significant issue should the airport expand and continue to help economic growth at the expense of more housing development in the Frankton area? 59

60 Possible strategies for transport Do nothing Transport problems could be left to sort themselves out. As roads like Frankton Road get busier, people and businesses start to alter their behaviour. They may make trips earlier or later to avoid congestion spots, or they may start to relocate so they do not need to travel into congested areas. Left to themselves, many businesses and people may shift out of the CBD once it gets very busy and move to less congested places like Frankton, provided there is the land for these activities. In the short term, doing nothing is likely to spread traffic loads, but in the long term such a strategy is likely to create more pressure for urban sprawl. As people and businesses continue to shift to find less congested places, congestion tends to catch up with them, so they try and shift further out, and so it goes on. With regards to other transport infrastructure, a do nothing approach will not help increase bus services and see ferry services introduced. These services may become more viable in the future, but only on a few key routes (provided there is space for them) while leaving many parts of the area without any services. For the airport, a do nothing approach will not make any difference to the time when the airport will reach capacity. Do nothing assumes that the rate of growth in visitor numbers will slow by about 25% after capacity is reached, a 3.5% growth per year rather than 4% per year, for example. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Does nothing to achieve more sustainable development. Will increase air and water pollution from the transport sector. Does nothing to help increase diversity more younger and older people, a wider range of incomes, for example. Will see access levels reduced. The urban environment will be degraded over time. In the short term, may help to manage infrastructure costs but in the long term, it will make costs higher. Does nothing to improve the efficiency of the economy. 60

61 Slow the growth As discussed in relation to other consequences, slower growth in houses, businesses and visitor accommodation may help reduce the rate at which traffic levels increase. This may give the council and community more time to put in place strategies to better manage transport issues, but slowing the growth will not solve the fundamental problem. Even if economic growth rates decline, the amount of traffic on the roads is still likely to climb because people are making more trips by car. Also slowing the growth may not see the development of the critical mass of people and businesses needed to support more public transport. One of the biggest dangers of a slow growth approach is that as problems associated with fast growth rates are less acute, there appears to be less need to take other actions to manage the effects of growth. However, these problems do not go away. Slow the growth approaches have to be part of a package of actions. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Slower growth may reduce the rate of consumption of resources, but over time consumption will still occur. Unless linked with other strategies, slower growth in traffic will just slow down further pollution. Unlikely to change current conditions. Will not fundamentally improve access. Unless tied to a better urban environment, slower growth will not change current trends. May make it easier for infrastructure to keep up with growth rates. Slower growth is likely to involve slowing the growth of the tourist market and this may harm the wider economy. 61

62 Better road traffic management Better management of traffic will help deal with some aspects of congestion. Reducing speeds along Frankton Road and putting traffic lights in the CBD will help. More lanes could be added to key intersections to keep traffic moving. Such approaches are the common response to traffic congestion, but they do not solve the underlying problems. Instead they tend to fuel growth in traffic levels. Over time, trying to keep traffic flowing freely can also mean more and more road space gets devoted to traffic, and less is provided for pedestrians and other modes. This reduces the quality of the urban environment. It also means that it is harder to promote public transport in the long term. Buses initially benefit from the freer flowing traffic, but once congestion levels rise again, there is no space for dedicated right-of-ways for buses such as bus lanes. In the case of Queenstown, which only has one route between the Queenstown CBD and the Frankton area, better traffic management is not a long-term solution. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will make more efficient use of existing assets, meaning additional growth is more sustainable. Will not necessarily lead to a better natural environment. Will help maintain current trends. More efficient use of existing roads will help retain current levels of access. If well designed, better roads can add to the urban environment. Will require new and better infrastructure traffic calming, traffic lights, revamped intersections and other measures. Will help the economy to continue to grow by making the current system more efficient. 62

63 Creation of alternative routes These actions would involve developing alternatives to Frankton Road, such as a high road over the Queenstown Hill and greater use of the Arthur s Point route. To a certain extent as Frankton Road gets busier, people will start to use alternative routes. However the capacity of the Arthur s Point road is itself an issue, while there would be substantial costs involved in developing a new roading route, along with considerable environmental costs as well. The creation of additional roading capacity, will overtime compound current problems. More roading capacity is likely to see traffic levels build, rather than be restrained, while land uses will tend to sprawl further out due to the increased accessibility. Traffic problems in the CBD are likely to get worse. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Will reinforce current patterns of resource use and so will not see development being more sustainable in the future. Car use will increase, and as a result, the impacts of this on the environment. Will see current trends being reinforced. Improved access is dependent upon more roads. Generally, more traffic will reduce the quality of the urban environment. New and better roads will be costly to build and maintain. Additional roading capacity will in the short term be good for business, but in the long term the adverse effects of more car use will add up. 63

64 Economic measures like tolls and pricing of car parks in the CBD A toll on travel into the CBD could be put in place, like the toll that now operates in London. A toll creates an incentive for people to combine trips into the CBD, not travel at all or to use an alternative, like public transport. A toll also generates a revenue stream that can be used to fund roading improvements, or better public transport. To be acceptable, tolling needs to be combined with upgraded public transport and better facilities for walking and cycling so that people, who cannot afford to pay the toll, can still get around town. This means that spare capacity along Frankton Road would need to be reserved for passenger transport in the future. Bus lanes and bus priority measures would need to be identified and protected. A downside of road pricing can be that, if set too high, the toll may put people off going into the Queenstown CBD and this might hurt it economically. However in the case of Queenstown the importance of the tourist market is likely to dampen this adverse consequence. Road pricing is likely to become more common in the future, but to work, it needs to be implemented along with other measures, including better public transport, as well as giving people some choices over where they work and where they live. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Effect on outcome By helping to show the real cost of transport, economic measures can help people to make more informed decisions about resource use. By helping to slow the growth in traffic, further air and water pollution can be avoided. A downside of economic measures is they will increase the cost of travel, and this will harm some groups in the community. Economic measures need to be tied to improvements to alternatives like walking, cycling and public transport if levels of accessibility are to be maintained. Less traffic congestion in the future gives more opportunities to improve the quality of the public environment. Tolls and other money raised can be used to fund additional infrastructure. 64

65 Community outcome Effect on outcome Grow the economy Freer flowing roads are likely to help business, which is more likely to be willing to pay tolls than private individuals More passenger transport services Council could work with transport operators and the Otago Regional Council to extend bus services and to operate a basic ferry service between Queenstown CBD and Frankton, for example. To work well, public transport needs a big anchor, as well as relatively intensively developed catchments. In Queenstown the number of visitors obviously helps to support a much better bus service than is typical in similar sized towns. The geography of the area also helps most development snakes along the lake s edge close to the main corridors. This means people are close to bus routes. These factors mean that public transport has a role to play, but to make that a bigger role a number of actions would need to be taken: There needs to be a greater intensity of activities along the bus routes. Travel times need to be improved, relative to car speeds to create an incentive to take the bus. Services need to be extended and better facilities provided, e.g. bus shelters, travel time information. Achieving good passenger transport links will require investment in infrastructure (ferry terminals, bus priority measures) as well as exploring the need to subsidise services (such as more frequent services during the day and more late hour services). 65

66 Community outcome Sustainable development Protection of the environment Increase the diversity of the community Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Effect on outcome Public transport uses less resources than private transport, supports more compact forms of growth and will enable the area to continue to grow without adding to congestion. More use of public transport will help to reduce the adverse effects of air and water pollution generated from cars. Improved transport choices will attract a wider range of people to the area, such as more retired people. Will help to improve accessibility for youth, elderly and people without access to a car. Will help to reduce the adverse effects of traffic congestion. Will help to avoid costly road building. Will help with economic growth, provided that it is not too costly to run Integration of land use and transport planning A balance between jobs and homes can help to spread traffic loads, as well as make it easier to walk to work. If the Frankton area is seen as a second CBD, with a mix of industry and intensive residential activities, along with selective intensification in other areas, such as around Jardine Park in Kelvin Heights, then this would create a better balance between jobs and homes in the area. Under the business-as-usual scenario the Queenstown CBD grows the most. More people will have to drive into the CBD. If, however, more jobs were located at Frankton, then there would be less pressure on Frankton Road. If there were also more homes in close proximity to Frankton then more people could also walk to work places in the area, just as they currently do in the Queenstown Bay area. More intensive development in Frankton would also support better public transport services to this area, as well as services between Frankton and the CBD. The location of schools and community facilities is also important, and so considering further education facilities at Frankton will also be important. A further aspect to consider is that intensive land uses, such as shopping centres, commercial areas, higher 66

67 density housing and important community activities, should be located in areas that can be served by public transport and cars as well as by foot and bike. Community outcome Sustainable development Protection of the environment Increase the diversity of the community Effect on outcome Will help to make more efficient use of existing resources. A reduction in the rate of vehicle use will help to reduce pollution associated with car use. People without access to a car will benefit. Improve access Upgrade the quality of the urban environment Provide infrastructure for growth Grow the economy Will help to support more walking and cycling and better public transport. Investment in better facilities for walkers, cyclists and public transport will be needed. Will help to manage transport demands in the longer term. Better facilities for walking, cycling and public transport will help the tourism industry. 67

68 3 WANAKA The Wanaka study area covers the land within the long-term urban growth boundary established by the Wanaka 2020 workshop. This is the land within the Clutha and Cardona rivers. Figure 9: Wanaka Study Area 3.1 COMMUNITY OUTCOMES The community outcomes for Wanaka are listed in the following box. They have been derived from the Wanaka 2020 workshops. 68